GMX determined to gather all the essential news and updates in one spot over the upcoming few weeks.
Overview of the Launch Plan of GMX
The launch will be contingent upon the time that Arbitrum is made available to the public, so we are currently presuming August 31, 2021.
- 31 Aug 2021: Arbitrum is opened to the public
- 1 Sep 2021: Once Arbitrum is opened to the public, minting and redeeming of GLP tokens will be available to all users, however, we advise all users to refrain from depositing significant amounts in the first few hours until the team gives the go-ahead. We will use this time to test and re-check that everything is working fine, once that is confirmed we will handover all permissions to timelock contracts.
- 6 Sep 2021: GMX transfers and trading is enabled
Be aware that these dates may be subject to alteration as no specific time has been declared by Arbitrum. The timing for GMX trading will be determined after a statement is issued by Arbitrum.
GMX Launch Bonuses
To make for a more exciting launch, there will be a bonus pool of 100,000 Escrowed GMX token worth $200,000 for all early GLP minters.
To qualify the bonus:
- Mint GLP token before the trading of GMX begins
- Hold the same or greater amount of GLP tokens until 30 September 2021
Those who meet the requirements will be allocated a share of the 100,000 GMX tokens kept in an escrow account according to their amount of GLP tokens recorded at the initial snapshot.
Once the Arbitrum team has finished, instructions for connecting to the Arbitrum network via MetaMask, bridging tokens, and minting GLP tokens will be made available.
GLP Assets
At launch, GLP will consist of ETH, WBTC and USDC. As liquidity grows, new assets such as LINK, AAVE, YFI, UNI, DAI and USDT will gradually be introduced into the index.
GLP will serve as a capital-efficient pool facilitating swaps and leverage trading while at the same time being an algorithmically managed portfolio.
GMX/ETH Listing
The proceeds from the transfer of XVIX and Gambit will be allocated to supply liquidity on Uniswap V3 on Arbitrum.
At first, we intended to employ 1 million USD worth of ETH and GMX in order to generate liquidity, but with Uniswap V3 allowing for tailored liquidity levels, we can utilize the ETH more economically.
At launch, $250,000 worth of ETH will be allocated within the $1.50 – $2.00 range for market liquidity. An additional $50,000 of ETH will be set aside in the opening week to purchase and destroy GMX if it is priced below $2.00.
On the other side of the liquidity, 1 million GMX tokens will be allocated from a price range of $2.00 to $20.00. An extra 1 million GMX is set aside to provide liquidity once the price of GMX goes beyond $20.00.
This setup’s effectiveness will be assessed after the initial week to decide how to most effectively utilize the liquidity funds.
Floor Price Fund
The GMX dashboard will show the revised Floor Price Fund values.
The Floor Price Fund will be augmented through three sources, including the sale of GMX in individualized offerings on Uniswap. Rather than creating new GMX and then trading it on the market, which could decrease its value, GMX tokens from the floor price fund can be used as liquidity above the current market rate.
More details: https://gmxio.gitbook.io/gmx/tokenomics
ETH Rewards
$72,072.62 USD worth of ETH has been collected from trading fees on BSC and will be distributed to GMX stakers over 4 weeks. These rewards will begin distribution shortly after Arbitrum is opened to the public.
Fast Price Feed
To ensure that prices are current, the team is running a quick price feed which expands the range when the Chainlink price differs by more than 0.1% from exchange rates. Generally, about 700 transactions are sent daily, costing approximately $1000 weekly. If the same price feed is utilized on Arbitrum, it will cost roughly $5000 per week.
In order to cover the expenses, a portion of the BSC fees will need to be used for gas. The rest of the fees, after gas has been paid for, will be given as rewards to holders of GMX and GLP.
At the start, there will still be a requirement that a position needs to have at least a 1.5% movement in price in order to be profitable. With the quick rate of price updates, we can try taking away this limit on BSC before thinking about doing the same for Arbitrum.
Roadmap
- AMAs are currently scheduled close to the launch of GMX
- For late migrators, once GMX/ETH has begun trading, there will be a 4 week gap between the migration and when the GMX tokens get staked. We had initially planned for the tokens to be vested over 12 months, but we find this might be too long. The migrated tokens will not earn rewards during the 4 week gap
- Vesting of Escrowed GMX will be available two weeks after the launch of GMX
- Trading competitions, referral programs and the mainnet launch of advanced orders will likely take up development time for September till mid October
- Once these are done, our vision is to build GMX into something more than swaps and leverage trading, to experiment with new DeFi possibilities. The current initial direction is for the idea of Checkpoint Tokens, a form of simplified options. More details will be announced as we finalise the mechanics
- Finally, Multiplier Points are a useful basis to reward long term holders since they cannot be bought but can only be earned with time. We can use this to provide bonus benefits for long term holders, in the form of NFTs etc. These will likely be worked on in November / December depending how the tasks get prioritised
We anticipate the upcoming months with great enthusiasm as we prepare to introduce all these new advances to GMX.
